Woolworths Enters Administration [Bargains Galore?]
Nov 30
Woolworths, home to all kinds of home products, consumer technology, toys and gadgets, has officially gone into administration, putting 30,000 jobs on the line and becoming the biggest High St. casualty of the recession so far. The group said it has entered administration following its failure to secure the sale of its 800 stores to restructuring company, Hilco. Although stores opened across the UK today, the fate of Woolies’ 30,000-strong workforce remains unknown. In a statement, the company’s board said: ‘The Board of Woolworths Group plc announces that discussions relating to the potential sale of its retail business have now ended. ‘Following, and as a consequence of the termination of those discussions, the boards of Woolworths and Entertainment UK have concluded that there is no longer any prospect of those businesses being able to operate as a going concern. Accordingly, the boards of both companies last night resolved to file petitions for administration in the High Court.’ Deloitte has been appointed as administrators and, while they say there has been some interest from third-parties in the crippled retail giant, it’s looking increasingly likely that they will start selling off Woolies stock at rock bottom prices to recoup some money for creditors. Get your bargain hunting runners ready.-Martin Lynch recession shopping news
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